This study examines the impact of oil prices, economic globalization, and inflation on economic output in oil-producing countries. Advanced time series techniques are used to achieve accuracy in findings and robustness of policy implications. The study uses cointegration methods with and without structural discontinuities because oil prices are highly volatile and the economies analyzed are unstable in the face of political and social changes. In addition, sensitivity analysis is performed using standard quantile and newly developed quantile regressions to measure the effects of covariates on real output per capita.
We suggest that those responsible for energy policy in the countries under study should rethink their crude oil policies to maximize the benefits of oil exploitation in the face of sluggish globalization and rising inflation.